The CSU Alcohol Policies and Prevention Programs Committee, formed in
December after the alcohol related death of a CSU student and two alcohol
poisoning incidents, recommended to the Trustees a comprehensive approach
that includes consistent enforcement of policies, education on alcohol
issues, intervention and treatment, a limit on alcohol vendor advertising,
and $1.1. million to fund these efforts. The recommendations will be brought
back to the Trustees in July for approval, and it is expected that they
will be implemented in the fall.

"This is not a California State University problem. It is a problem at
all universities in the nation. This is the most comprehensive set of
recommendations and policies I know about in the nation," said CSU Chancellor
Charles B. Reed, who has called alcohol abuse the biggest problem on the
nations college campuses and has said that many other problems on
campus stem from alcohol abuse.

Chaired by CSU Fresno President John Welty, the committee of students,
presidents, vice presidents, alumni, faculty and staff divided the report
into six areas: policies; enforcement and legal issues; education and
prevention programs; training, intervention and treatment; assessment;
and resources.

"The strength of the report is that we had students, faculty, presidents,
vice presidents, alumni and other groups represented on the committee.
I think we can make a substantial difference," said President Welty. "Theres
a mythology about student drinking on campuses. Actually, two-thirds of
students drink moderately or not at all."

Other recommendations include developing comprehensive alcohol policies
and programs; regular gathering and reporting of data to Trustees; annual
reviews of policies by a university-wide council; a review of pertinent
state laws; holding students responsible for their actions, collaborative
efforts between campuses and communities; and more alternative activities
for students.

The CSU will co-sponsor a conference in July in Anaheim on the social
norms approach, which refers to providing information to students on the
realities of alcohol and dispels many of the myths young people have about
college life and drinking to excess.

"Students want to belong to the student community. They believe in order
to belong they have to drink as much as every other student drinks," said
CSU Chico President Manuel Esteban, who served on the committee. "The
myth is they have to drink six, seven or eight drinks. Consequently, they
end up drinking to that limit to be like everybody else, when it turns
out the average student is drinking far less."

DECISION ON CSUDH NATIONAL SPORTS COMPLEX DELAYED

After about 50 speakers spoke in favor and against the impact of the
construction of the National Training Center/Sports Complex at CSU Dominguez
Hills, the Trustees decided to delay a decision on approving the project
for ten to 21 days to review the concerns. An announcement will be made
about the date of the meeting to vote on its approval, but there will
be no more public comment at that meeting.

The board was being asked certify of the final environmental impact report,
revise the campus master plan, amend the 2000/01 nonstate funded capital
outlay program and approve the schematic plans of the complex.

The $112 million complex consists of development in two locations --
the project site and the campus improvement area. The project site consists
of approximately 85 acres of undeveloped property that would include construction
of two adjacent stadiums (a soccer stadium with seating from 20,000 to
27,000 and a tennis stadium with seating from 8,000 to 13,000), along
with other support facilities and parking.

The campus improvement area is about 40 acres and includes upgrades to
existing campus facilities such as soccer fields, tennis courts, track
and field facilities, relocated baseball and softball fields, a relocated
velodrome, surface parking and a relocated online roller hockey rink.

The complex is scheduled to be the home of Major League Soccers
L.A. Galaxy and could also become the training headquarters for the U.S.
Soccer Federations mens and womens national teams.

MAY REVISE BUDGET FUNDS ENROLLMENT AND CUTS COMPENSATION

Richard West, CSU executive vice chancellor and chief financial officer,
gave a status report on the 2001/02 support budget at the meeting. The
Trustees 2001/02 request was $364.3 million, and the Governor approved
$291.5 million in January. The May revise of the budget included a 9 percent
increase of $233.4 million. It included full funding for enrollment, but
cut the employee compensation increase by half to two percent, and eliminated
funds for workforce preparation and remedial education outreach, among
other items.

A revision to Title 5, the California Code of Regulations, will allow
students who have been admitted for a fall term to begin in the summer
before their formal admission at the same cost as the fall term.

CSU campuses are moving to year-round operations to accommodate unprecedented
enrollment growth. However, traditionally summer enrollment has not been
state supported, meaning that students would have to pay two to three
times as much in the summer as in the fall and spring. Recently, funds
were secured to make summer student fees the same as the rest of the year.
Therefore, many students may want to start college early if the opportunity
is available at the same cost.

According to David Spence, CSU executive vice chancellor and chief academic
officer, this change would allow student to graduate quicker, would help
with the CSUs move to year-round operations, will be a better use
of CSU facilities, and will provide more opportunities for students in
need of remedial education to get the assistance they need before their
first fall term.

The Title V change will not cost the CSU anything and will come back
to the Trustees for approval in July.

REPORT GIVEN ON FACULTY RECRUITMENT AND RETIREMENT

The Trustees heard a report on faculty recruitment and retirement. A
summary of the report includes the following:

The number of tenure track faculty searches and appointments recently
has been increasing significantly.

The average tenure track recruitment success rate over the past six
years has been about 73 percent.

The number of participants in the Faculty Early Retirement Program
(FERP) has increased significantly in recent years.

The number of lecturers in recent years has grown because of retirements;
student enrollment growth; temporary replacements during the permanent
faculty recruitment process; the growing number of faculty in the FERP
program; and the replacement of part-time positions lost during the
recession in the early 1990s.

The percentage of administrators in the CSU system has remained constant
at about 7-8 percent in recent years.

As part of the CSUs ongoing series highlighting outstanding educational
programs, the Trustees heard a report on CalStateTEACH, an alternative
teacher education program for elementary school teachers. The first 133
participants graduated this spring.

CalStateTEACH, which began in 1999 and now has 800 participants, is targeted
to teachers who need to complete a Multiple Subject Credential with emphasis
on Cross-Cultural, Language, and Academic Development, and are unable
to attend a CSU campus on a regular basis because of work schedules, family
obligations or distance from a campus. About 30,000 teachers in California
are not fully credentialed, but hold either a waiver or an emergency permit.

"This is an outstanding program. I commend the vision of the chancellor
who sparked the initiation of this program," said Faculty Trustee Harold
Goldwhite.

CalStateTEACH is an 18-month program that provides high quality education
by offering a personalized program that combines independent study with
online technology, video, and print materials. The coursework consists
of assignments and activities that integrate the teaching experiences
in the classroom. The flexibility of the program is designed to allow
independent study at the time and place of the students choice,
which usually revolves around their teaching schedules. For additional
support, teachers are assigned to regional centers located at CSU Fresno/Monterey
Bay, CSU Hayward, CSU Fullerton, Cal Poly Pomona, and Cal State L.A.

The CSU educates 60 percent of the states teachers, and CalStateTEACH
is one of the many initiatives CSU has implemented in recent years to
improve the quality and quantity of Californias teachers.

TRUSTEES HEAR UPDATE ON ENERGY

The trustees heard a report that the CSUs energy conservation programs
are working. Over the past two decades conservation is up, and consumption
is down. In fact, the CSUs conservation programs have saved 123
million kilowatts since 1979.

In addition, the CSU remains in litigation with Enron, and will seek
to remain a direct access customer. It is expected that at the completion
of the current contract with Enron in March of 2002, the CSU will seek
a new direct access contract incorporating electricity and gas. In addition
to the long-term contract, other CSU energy management plans include:
participating in demand reduction programs; exploring new energy technologies
such as solar power, microturbines, cogeneration, and load shifting.

UPDATE GIVEN ON QUALITY IMPROVEMENT PROGRAM

An update was given on the progress of the systemwide Quality Improvement
Initiative (QI), an effort to improve service to students, faculty and
staff. The collaborative and voluntary program uses performance measurement
and benchmarking, assessment of customer needs and satisfaction, and process
mapping activities to provide campuses with the necessary data and tools
to make lasting improvements in service delivery.

Customer satisfaction surveys are conducted at least every two years,
and this year they were distributed to 100,000 students, faculty and staff.
This helps campuses take a customer-centered approach, make better informed
decisions, and share model practices with other campuses. The initiative
has allowed campuses to focus on key objectives and track effective results,
remove unnecessary steps in processes, increase customer satisfaction,
and shift resources to higher priorities.

WANG AWARDEES RECOGNIZED

Four faculty and an administrator were honored as the 2001 recipients
of the CSU Wang Family Excellence Award. The Wang (pronounced WONG) award
was established in 1998 when Trustee Stanley T. Wang gave the CSU $1 million
to reward, over a 10 year-period, four faculty and one administrator with
$20,000 awards annually.

The 2001 recipients are: Edward EmanuEl, professor of theatre arts at
Fresno; Jane Hall, professor of economics at Fullerton; Aubrey Fine, professor
of education at Cal Poly Pomona; Maria Elena Zavala, professor of biology
at Northridge; and Valerie Bordeaux, director of university outreach and
school relations at Long Beach.

Trustee Laurence Gould will remain as chair of the board for the second
year. Current Vice Chair Dee Dee Myers asked not to be placed in future
CSU Trustee leadership positions due to her moving to Washington, D.C.,
and Debra Farar was named vice chair of the board for the next year. In
addition, Student Trustee Neel "Bubba" Murarkas term has expired,
and Trustee Bill Hauck was reappointed by the Governor to another eight-year
term.

IN OTHER ACTION

The Trustees Approved:

The schedule of the Board of Trustees meetings for 2002.

The selection of KPMG as the external auditors.

The issuance of debt instruments (not to exceed $10.8 million) supported
by the Sonoma State University Parking System Revenue Bonds Series A
for a 1,100 space parking lot and related improvements.

The dissolution of auxiliary organizations at the CSU Stanislaus Stockton
Center.

The issuance of debt instruments (not to exceed $56.4 million) by
bonds of the CSU Housing Revenue Bond System for a 201-unit apartment
complex that would house 800 students at Cal Poly San Luis Obispo.

The 2001/02 Legislative Report No. 3.

The naming the School of Education and Human Development at CSU Fresno
in honor of Benjamin and Marion Kremen. Benjamin established the master
of arts degree in education at Fresno State, where he taught for 45
years until his death in 1995. He and Marion have given the campus more
than $4 million.

The naming the Center for Innovation and Entrepreneurship at CSU Fresno
in honor of William M. Lyles, his company, Lyles Diversified, and his
family, who have given more than $2 million in contributions to the
university.

Schematic plans and amending the 2000/01 nonstate funded capital outlay
program to include $19.9 million for the International Polytechnic High
School at Cal Poly Pomona.

The Trustees Heard:

A status report on current and follow-up internal audit assignments.

A financing transaction for a $1.2 million loan through a CSU San
Bernardino auxiliary organization to provide construction funds for
the Coachella Valley Off-Campus Center.

A status report on the 2001/02 state funded capital outlay program.

A recognition of the national champion Womens Basketball Team
at Cal Poly Pomona, Mens Soccer Team at CSU Dominguez Hills, and
Womens Rugby Team at CSU Chico.